MOL, PETRONAS & SDARI win AiPs for LCO2 carrier and FSO design

Tokyo-based shipping company Mitsui O.S.K. Lines (MOL) has won approval in principle (AiP) from classification societies Det Norsk Veritas AS (DNV) and the American Bureau of Shipping (ABS) for a liquefied CO2 (LCO2) carrier. Additionally, ABS has granted an AiP for a floating storage and offloading (FSO) unit.

Both the carrier and the FSO were jointly developed by MOL, Malaysian state oil company Petroliam Nasional Berhad (PETRONAS), and the Shanghai Merchant Ship Design & Research Institute (SDARI).

The official presentation ceremony took place on June 26 at the Kuala Lumpur Convention Centre, coinciding with Energy Asia, an international conference focused on promoting sustainable development and achieving net zero emissions in the Asian energy industry.

Since signing a memorandum of understanding (MoU) on February 7, 2022, MOL and PETRONAS have been studying optimal methods of ocean transport for LCO2 within the Asia Pacific and Oceania region. With the assistance of SDARI, the joint project completed the concept study for LCO2 carriers and FSO units.

Floating storage and offloading (FSO) units have been identified as essential floating facilities that facilitate the receiving, storing, and offloading of LCO2. FSOs are regarded as a highly effective solution in the burgeoning carbon capture, utilization, and storage (CCUS) market.

MOL said that the completion of these concept designs and acquisition of AiPs clears the way toward a flexible approach to transport needs in consideration of volume, transport distance, and direct transport to FSOs near offshore storage facilities.

“MOL is pleased with our achievement of the various designs of the LCO₂ carrier and FSO in cooperation with PETRONAS and SDARI,” MOL Senior Managing Executive Officer Nobuo Shiotsu said.

“Development on a large scale is an essential step for the CCUS value chain within the Asia Pacific and Oceania region. Through the newly acquired AiP, the MOL Group will further accelerate this initiative on the CO₂ transport business to contribute to reducing society’s overall GHG emissions.”

“LCO₂ carriers for CO₂ transportation play a key role in the carbon capture and storage value chain. The acquisition of the AiPs further strengthens PETRONAS’ commitment in offering decarbonization solutions, aligned with our aspiration in establishing Malaysia as a leading CCS hub in the region,”
Upstream PETRONAS Executive Vice President and Chief Executive Officer Adif Zulkifli said.

“The concepts will be essential to LCO2 transportation and operation, and will boost CCUS development in the maritime industry. The acquisition of the AiPs is the new start and SDARI will continuously provide more and more innovative solutions to partners for the ambitious decarbonization plan,” said SDARI Vice President Zhou Zhiyong.